What are typical rental yields in Dubai?

Dubai offers some of the highest rental yields globally, making it attractive for buy-to-let investors.

Average Rental Yields by Area

High-Yield Areas (7-9%)

• International City
• Discovery Gardens
• Dubai Sports City
• Jumeirah Village Circle (JVC)
• Dubai Production City

Mid-Range Yields (5-7%)

• Dubai Marina
• Jumeirah Lakes Towers (JLT)
• Business Bay
• Dubai Hills Estate
• Arabian Ranches

Premium Areas (4-6%)

• Downtown Dubai
• Palm Jumeirah
• Emirates Hills
• Dubai Creek Harbour

Factors Affecting Rental Yields

• Location and accessibility
• Property type (studio vs multi-bedroom)
• Building amenities and facilities
• Age and condition of property
• Proximity to metro, schools, shopping

Calculation Example

Property Price: AED 1,000,000
Annual Rent: AED 70,000
Rental Yield: (70,000 / 1,000,000) × 100 = 7%

Market Trends

• Studios and 1-bedroom apartments typically offer higher yields
• Newer developments often command premium rents
• Properties near metro stations rent faster and at higher rates

Additional Costs to Consider

• Service charges: 5-10% of rental income
• Property management fees: 5-8% if using agents
• Maintenance and repairs: 1-2% annually
• Vacancy periods: Factor 1-2 months

Net Rental Yield

After deducting all costs, expect net yields of 4-7% depending on area and property type.